Businesses today, both large and small, are beginning to wonder if traditional marketing tactics are still enough. After all, we are living in a new age where we check our in-boxes more often than our mailboxes and dial-up to the internet more often than we would dial-up a friend. It seems apparent that we need to reach consumers in a fresh way, but what exactly is it that this generation is looking for? The answer centers around the combination of two things: technology and convenience. We want everything – our contacts, calendars, emails and yes, even our advertisements - to be in one easily accessible place. Well, Generation Y – say, “hello,” to mobile marketing.
For those who are less familiar with the idea, we’ll give a quick overview. Mobile marketing allows businesses to communicate with consumers in a number of effective ways. When a person responds to an ad through their mobile phone, they will usually receive a text back with some of the company’s information. Businesses can also send coupons to the number as an incentive for them to actually come in to the store. Some businesses, such as Starbucks, have even begun using mobile loyalty cards – a great way to keep frequent visitors coming back for more! Other mobile marketing techniques include sending polls, contests, and text alerts to interested leads.
One very successful example was carried out by Ace Hardware and Microsoft Mobile Advertising. In a month-long holiday campaign, Ace Hardware advertised four different in-store specials via mobile marketing. The campaign resulted in a 60% lift in brand awareness in ages 35-54 and 101% in ages 25-54, as well as an 8% increase in store traffic – surpassing even the highest expectations. This just goes to show that mobile marketing is more than just a passing fad for the tech-savvy; it’s a major break-through for businesses who are ready to get involved. And here’s the kicker: it really does work!
With 2.4 billion active text message users in the world (more than any other data application), it’s surprising that this trend hasn’t caught on sooner. In fact, a study by the GSM Association found that mobile marketing has already reached 25 times more people than Twitter and has 7 times the response rate as compared to e-mail marketing. We should also expect it to increase in popularity as more age brackets adapt to text messaging and as mobile coupons are becoming more widely accepted. While the revenue it produced in 2008 was a couple hundred million, it is predicted by http://www.smallbiztrends.com that this could increase to $5 billion by 2012.
At The Souza Agency, we know how important it is to stay up-to-date in the ever-changing and quickly expanding world of marketing. And with mobile marketing – the question no longer seems to be how or why to get involved, but when.